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Kamakura Reports Significant Decline in Global Credit Quality in August

Kamakura Troubled Company Index Rises to 7.7%

HONOLULU, HI--(Marketwire - September 4, 2007) - Kamakura Corporation reported today that 7.7%
of global public companies are classified as troubled, a significant
decline in credit quality compared to the 6.5% troubled company figure for
July. Kamakura had reported a mid-August interim troubled company ratio of
7.4%. The proportion of troubled companies has not been at the 7.7% level
on a sustained basis since the second quarter of 2005. August 2007 global
credit quality remained better
than 79.5% of the monthly periods since January 1990, down sharply from a
95.2% rank in July. The average value of the index has been 13.5% over the
last 17 years. Kamakura defines a troubled company as a company whose default probability is in excess of
1%. The index now covers more than 20,000 public companies in 29 countries
using the fourth generation version of Kamakura's advanced credit models.

"The crisis in the housing sector and related asset-backed commercial paper
markets is beginning to affect corporate credit quality in general," said
Warren Sherman, Kamakura President and Chief Operating Officer. "Over the
month of August, the deterioration in credit quality has become more
broadly based. The percentage of the global corporate universe with default
probabilities between 1% and 5% increased sharply from 4.7% of the universe
at the end of July to 5.5% of the universe at the end of August. The
percentage of companies with default probabilities between 5% and 10% was
up by 0.2% to 1.1% of the universe in August. The percentage of the
universe with default probabilities between 10 and 20% was unchanged at
0.6% of the universe. The percentage of companies with default
probabilities over 20% increased by 0.1% to 0.4% of the total universe in
August."

Beginning in January 2006, Kamakura has moved to a global index covering 29
countries using the annualized one month default probability produced by
the best performing credit model of the Kamakura Risk Information Services
default and correlation service. The model used is the fourth generation
Jarrow-Chava reduced form default probability, a formula that bases default
predictions on a sophisticated combination of financial ratios, stock price
history, and macro-economic factors. The countries currently covered by the
index include Australia, Austria, Belgium, Brazil, Canada, Denmark,
Finland, France, Germany, Hong Kong, India, Ireland, Israel, Italy, Japan,
Luxemburg, Malaysia, the Netherlands, New Zealand, Norway, Singapore, South
Africa, South Korea, Spain, Sweden, Switzerland, Taiwan, the United
Kingdom, and the United States.

Kamakura is offering free trials of its KRIS default probability, default
correlation, and collateralized debt obligation pricing service to
qualified institutions. For more information on Kamakura's free trial
offer please contact Kamakura at wsherman@kamakuraco.com. More information
can also be found on the Kamakura Corporation web site www.kamakuraco.com
and in a chapter from "The Basel Handbook: A Guide for Financial
Practitioners," second edition, (Michael Ong, Editor) by Kamakura's Donald
R. van Deventer, Li Li, and Xiaoming Wang (available on www.amazon.com ).

About Kamakura Corporation

Founded in 1990, Kamakura Corporation is a leading provider of risk management information,
processing and software. Kamakura has been a provider of daily default
probabilities and default correlations for listed companies since November,
2002. Kamakura launched its collateralized debt obligation (CDO) pricing
service KRIS-CDO in April 2007. Kamakura is also the first company in the
world to develop and install a fully integrated enterprise risk management
system that analyzes credit risk, market risk, asset and liability management,
transfer pricing, and capital allocation. Kamakura has served more than
160 clients ranging in size from $3 billion in assets to $1.6 trillion in
assets. Kamakura's risk management products are currently used in 23
countries, including the United States, Canada, Germany, the Netherlands,
France, Switzerland, the United Kingdom, Russia, Eastern Europe, the Middle
East, Africa, Australia, Japan, China, Korea and many other countries in
Asia.

Kamakura's research effort is led by Professor Robert Jarrow, who was named
Financial Engineer of the Year in 1997 by the International Association of
Financial Engineers. Professor Jarrow and Kamakura founder Dr. Donald R.
van Deventer were both named to the 50-member RISK Hall of Fame in December
2002. Kamakura management has published more than 100 publications on
credit risk, market risk, and asset and liability management. Kamakura has
world-wide distribution alliances with IPS-Sendero (www.ips-sendero.com)
and Unisys (www.unisys.com), making Kamakura products available in almost
every major city around the globe.